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A Peer-reviewed scientific articles/A1 Journal article (refereed), original research
      
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Bank relationships and firms' financial performance: the Italian experience, European Financial Management 1; January (2012). Castelli, Annalisa; Dwyer,Gerald P; Hasan, Iftekhar


Category A Peer-reviewed scientific articles
Sub-category A1 Journal article (refereed), original research
auki Internal authors
All authors as text Castelli, Annalisa; Dwyer,Gerald P; Hasan, Iftekhar 
Number of authors
Status Published
Year of publication 2012 
Date 21.01.2012 
Name of article Bank relationships and firms' financial performance: the Italian experience 
Name of journal European Financial Management
Volume of issue 18 
Number of issue 1; January 
Pages 28-67 
Abstract We examine the connection between the number of bank relationships and firms' performance using a unique data set on Italian small firms for which banks are a major source of financing. Our evidence indicates that return on equity and return on assets decrease as the number of bank relationships increases with a stronger effect on small firms than large firms. We also find that interest expense over assets increases as the number of relationships increases. Particularly for small firms, these results are consistent with analyses suggesting that fewer bank relationships reduce information asymmetries and agency problems and outweigh holdā€up problems.
Free text descriptor in English bank relationships. small business lending, firms' performance 
JEL-codes D21; G21; G32 
ISSN / e-ISSN 1354-7798 
auki Internet addresses
Additional information First published: 27 December 2011
Notes BOF DP 36/2009 


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